OAR 813-042-0050
Criteria for Funding
(1)
A project grant and/or loan shall be given preference based on:(a)
Providing the greatest number of low- and very-low income housing units for the least amount of Account funds expended or committed toward matching fund from other loans, grants or eligible In-Kind Contributions.(b)
Insuring the longest possible use as low- or very-low income housing units;(c)
Including a program of services for residents of proposed housing including, but not limited to, programs that address home health care, mental health services, alcohol and drug treatment and post-treatment care, child care and case management; and(d)
Other subordinate criteria as determined by the Department including, but not limited to, providing housing for specific populations which have historically faced barriers in finding housing, and which are identified as having a priority in the Consolidated Plan or its successor, or in a state-acknowledged initiative.(2)
Funding to a project shall be conditioned upon the continued use of the project for the targeted tenant group and provision of supportive services for the duration and to the extent indicated in the grant and/or loan application. The Department, at its discretion, may require repayment of the funding if all or part of the commitments to residents, supportive services, or period of use for low- or very-low income housing are withdrawn from the project.(3)
Terms and conditions of the award shall be established in a Project Use Agreement, remain affordable to low and very low income residents during the Affordability Period and be recorded against the property. Loan terms and conditions shall be established in an additional Promissory Note, Loan Agreement and secured by a Trust Deed.(a)
The Use Agreement, Trust Deed, Loan Agreement and Promissory Note must be executed and the Use Agreement with the Trust Deed must be recorded before funds are advanced, in whole or in part, unless the Applicant does not own the property at the time of fund disbursement.(b)
If the applicant does not own the property at the time of fund disbursement, the Applicant will be required to open an escrow account and have the Use Agreement with Trust Deed placed in escrow and recorded immediately upon obtaining title to the property.(4)
Loans disbursed from account investment revenue shall bear an interest rate equal to the interest rate paid on U.S. Treasury long-term obligations in effect on the date the loan is negotiated as identified by the Department.(5)
At least 75 percent of the revenue earned from investment of the principal in the Account in any calendar year shall be used to produce housing for very-low income persons, and no more than 25 percent of the revenue earned from investment of the principal in any calendar year shall be used to produce housing for low-income households.
Source:
Rule 813-042-0050 — Criteria for Funding, https://secure.sos.state.or.us/oard/view.action?ruleNumber=813-042-0050.